NATIONAL PROVIDENT FUND. TWENTY-FIFTH ANNUAL REPORT OF THE BOARD, FOR THE YEAR ENDED 31st DECEMBER, 1935.

Appendix to the Journals of the House of Representatives, 1936 Session I, H-17

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1936. NEW ZEALAND.

NATIONAL PROVIDENT FUND. TWENTY-FIFTH ANNUAL REPORT OF THE BOARD, FOR THE YEAR ENDED 31st DECEMBER, 1935.

Prepared in pursuance of Section 72 of the National Provident Fund Act, 1926.

The operations of the Fund, for the year ended 31st December, 1935, disclose satisfactory all-round progress, as shown by the following comparative figures r & 1935. 1934. New; contributors .. •• •• 2,977 Total contributors .. •• •• 25,782 -lo Pensioners 588 522 £ £ Contributions 233,178 227,652 Interest 168,039 65,829 Total income .. .. • • • • ■ • ®® 2 > 899 493,173 Pension payments .. •• •• •• 51 Other benefits .. .. •• •• olq'oai Total outgo .. •• •• •• 199,632 212,36 Funds at end of year 4,341,060 4,037 793 Rate of interest, per cent... .. .. £4 Is. lOd. £4 bs. lid. The benefits granted by the Fund include, inter alia, annuities at age sixty, widows' annuities, invalidity and death allowances varying with the number of dependent children, and the enrolment of contributors is not made any easier by the fact that the State also grants free old-age pensions and free pensions to widows, miners, &c. The last five years have imposed a severe test on the I 1 una, as a considerable number of members have elected, in many cases through force of economic circumstances,, to relinquish membership and withdraw their contributions. Under all the circumstances it is very gratifying that progress continues to be shown, and with improving financial conditions a greater degree of expansion may confidently be expected. It seems clear, however, from the experience of the Fund since its inception, together with the results of similar schemes m other countries, that the objective of relieving the State of old-age and other pension payments can be achieved only by a compulsory scheme, preferably including all sections of the community, although partial success might be achieved by commencing with those below a specified age or under a given income limit. If deemed desirable by Government, the present voluntary basis of the National Provident Fund could be altered and made compulsory, or, alternatively, the scales of contributions and benefits could be suitably modified to form the framework of a national compulsory contributory scheme. W. Lee Maktin, Chairman of the Board. C. Gostelow, F.1.A., Wellington, 23rd July, 1936. Superintendent of the Fund.

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NATIONAL PROVIDENT FUND. (1) Revenue Account for the Year ended 31st December, 1935. £ s. d. £ gt Amount of fund at beginning of year .. 4,037,792 14 9 Maternity claims (section 19) .. .. 4,554 0 0 Contributions .. .. .. .. 233,177 10 0 Maternity claims (approved friendly societies) 27,'844 0 0 Interest'.. .. .. .. .. 168,039 2 6 Refund of contributions on lapse, reduction, Fines .. .. .. .. .. 374 10 11 and withdrawal (sections 11, 12, and 13) .. 57,898 4 0 Government contribution under Act .. 58,303 3 4 Refund of contributions in lieu of pension Refund of maternity claims by the State .. 27,844 0 0 (section 14) .. .. .. .. 4 549 17 4 Contributions overpaid on exit .. .. 54 14 0 Incapacity allowances (sections 17 and 18), Benefits refunded on exit .. .. .. 15,105 5 5 including contributions waived on incapacity Miscellaneous receipts .'. .. .. 0 5 6 £1,251 Os. 4d.) .. .. .. .. 7,839 15 11 Death : Refund of contributions (sections 15 (5) and 16) .. .. .. .. 26,750 8 2 Death : Allowances on account of widows and children (section 15) .. .. .. 12,349 3 3 Retirement: Allowances (sections 13 and 48) 51,757 11 3 Refund of contributions overpaid on exit . . 54 14 0 * Expenses— Salaries .. .. .. .. 2 010 0 11 Commission, allowances, and agency expenses 651 7 2 Postages .. .. .. .. 40 17 6 Printing and stationery .. .. .. 43 3 8 Rent .. .. .. .. .. 161 8 10 Government Actuary .. .. .. 152 10 1 Public Trustee : Charges .. .. 2,794 0 0 Travelling allowances and expenses .. 25 18 8 General expenses .. .. .. 59 6 7 Legal expenses .. .. .. .. 95 8 10 Amount of fund at end of year .. .. 4,341,059 10 3 £4,540,691 6 5 j £4,540,691 6 5 Balance-sheet as at 31st December, 1935. Liabilities. £ s. d. Assets. £ s d Fund as per Revenue Account .. .. 4,341,059 10 3 In hands of Public TrusteeClaims due and in course of payment*— Invested .. .. .. 4 046 529 12 3 Maternity .. .. .. .. 1,514 16 6 Uninvested ~ .. .. .. 202'430 7 6 Death (section 16) .. .. .. 921 18 7 Post Office .. .. .. .. '402 18 5 Death (section 15 (5) ) .. .. .. 494 411 Balances in transit .. .. .. 9 128 10 5 Death: Allowances (section 15) .. .. 363 2 5 Contributions outstanding or in course of Allowances (sections 13 and 48) .. .. 1,714 311 transmission*— Allowances (section 17) .. .. .. 239 8 9 (a) Contributions due but not overdue .. 9 296 13 2 Refunds (section 14) .. .. .. 349 14 5 (6) Contributions overdue .. .. 2,174 6 4 Public Trustee: Charges* .. .. .. 1,567 18 7 Government subsidy due under Act* .. 58'303 3 4 Refunds in suspense .. .. .. 40,621 7 11 Refund due in respect of maternity claims* .. 1 066 0 0 Suspense Account .. .. .. 211 5 7 Fines due* .. .. .. .. ' 138 3 4 Contributions prepaid .. .. .. 8,817 7 9 Interest due* .. .. .. .. 21,613 7 7 Interest accured but not due* .. .. 46,791 17 3 £4,397,874 19 7 £4,397,874 19 7 * Included in Ke venue Account. C. Gostelow, F.1.A., Superintendent. R. M. Porteous, Wellington, Ist July, 1936. Accountant. I hereby certify that the Balance-sheet and Revenue Account have been duly examined and compared with the relative books and documents submitted for audit, and correctly state the position as disclosed thereby.— J. H. Fowler, Deputy Controller and Auditor-General.

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(2) Numerical Statement for the Year ended 31st December, 1935.

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Numbers. — _ __ _ , „ . Cla ss 1. Class 2. Class 3. Class 4 Class 5 Annual 1 ension fiate, 10s. Pension Kate, 20s. Pension Rate, 30s. Pension Bate, 40s. Pension Hate:" Other. Aggregate. Contributions. N^ r <rfye^ ribUtOrSatCOmmenCe " i 15 ' 224 62? 15 ' 851 '' 682 314 1>996 192 I 51 243 428 1M 542 4 ' 058 2 ' 482 6,540 21,584 3,588 25,172 23l?867 12 *4 New entrants during the year .. | 1,483 106 1,589 83 i 19 102 9:5 14 14 4 IS 379 »75 1 254 1 <«i8 1 OOQ 2 P77 91 577 19 8 Transfer from another class ..j 77 11 88 107 6 113 16 9 25 29 5 34 9 1 'l0 I38 ' 32 Vll ' Increase due to adjustment on age-! ...... u Se To ? error, &c. ■•■••••••••......... 7o 18 0 Total at end of year •- 15,460 664 16,124 I 1,680 i 311 J 1,991 i~ 186 55 547~ l 17247"b,631 I 25,782 239T374l4~l) Details of Discontinuances. &c, during the Year. Decrease due to adjustment on age- .... .. .... .. 951 11 8 error, &c. " " " " "• •■ 13 11 8 T0tal ! ' 324 80 i' 404 192 I 2 8 i 220 I 31 10 ~lī| 31 16 I 4t"| 198 925~rn776 861 | 2,637 21,226 2 1 Numerical Progress since Establishment. Total entered .. .. 55,052 4,304 j 59,356 8,954 1,163 j 10,117 964 149 1 1,113 1,219 236 1,455 8,322 19 843 118 165 74 511115 695190 206! Total transferred from other classes.. 4,156 216 | 4,372 2,245 179 j 2,424 405 52 457 582; 43 625 71 2 73 492 7,951 " 59,208 4,520 j 63,728 11,199 1,342 12,541 1,369 201 j 1,570 1,801 279 2,080 8,393 9,845 18,238" 8U)70~ 16,187 7. Total discontinued . ..41,509 3,700 45,209 5,608 808 6,416 ~590 674~ 79? 914 U 334~ 52~497~ 11 997 64 424 "~ Total transferred to other classes .. 2,395 3,911 223 4,134 593 62 655 691 51 742 25 25 7,m 492 i%\ " J43,748 3,856 I 47,604 9,519 1,031 10,550 1,183 146 1,329 1,361 | 172 1,533 4,145 7,214 11,359 59,956 12,419 72,375 ° n b ° OkS 31St i 15 ' 460 664 i 16 ' 124 l^ 80 311 1,991 186 55 241 " 440 [ 107 6,879 ~^Jt^~V

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NATIONAL PROVIDENT FUND ACT, 1926. Direct Contributors. (3) Statement of Retiring and other Allowances for the Year ended 31st December, 1935.

Other Contributors. (3a) Statement of Retiring and other Allowances for the Year ended 31st December, 1935.

NATIONAL PROVIDENT FUND. Progress of Retiring and other Allowances since the Establishment of the Fund to 31st December, 1935.

Approximate Coat of Paper.—Preparation, not given ; printing (600 copies), £6 ss.

By Authority: G. H. Loney, Government Printer, Wellington.—l 936.

Price 3d.]

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On Attainment of Total Retiring and other On Death. On Incapacity. Age 60 Allowances. Number. ' j£ZS*. a". N « mb - /moZt. M F £ s. d. M. F. £ s. d. M. F. £ s. d. M. F. £ s. d. Allowances existing at be- 163 1 8,755 10 0 42 .. 1,638 0 0 95 50 6,618 7 0 300 51 17,011 17 0 GrintedduringTheyear 17 .. 1,072 10 0 18 .. 936 0 0 31 11 1,820 0 0 66 11 3,828 10 0 Total 180 f9,828 0 0 ~60~ .. 2,574 0 0126 61 8,438 7 0 366 62 20,840 7 0 Discontinued during the 14 .. 1,072 10 0 19 .. 877 10 0 2 .. 52 0 0 35 .. 2,002 0 0 year (as per statement below) . Existing at end of year 166 f8,755 10 "OlTi .. 1,696 10 0ll24 61 8,386 7 01331 62 18,838 7 0 Particulars of Retiring and other Allowances discontinued during the Year. Discontinued by death .. I .. .. 19 10 01 4 .. 195 0 0 2 1.. 52 0 0] 6 i . j 266 10 0 Expiry .. .. 14 .. 1,053 0 0 15 .. 682 10 0 J ! " ' Total .. 14 .. 1,072 10 0 TsT .. 877 10 0 2 .. 52 0 0 35 j .. 2,002 0 0 j __J I

i tt at- n On Attainment of Total Retiring and other On Death. On Medical Unfitness. Retiring Age. Allowances. Number. | a". N « mber - A™. dumber. | M. ! F. £ s. d. M. p. ! £ s. d, mJ I. £ s. d. m. f. £ s. d. Allowances existing at be- 139 .. 3,199 0 0 44 I 10 |4,274 6 0 310 67 42,340 18 0493 77 49,814 4 0 .. 18 j .. 553 0 0 14 j 3 1,452 10 0 34 16 jō,404 19 0 66 19 7,410 9 _0 Total .. 157 ; .. 3,752 0 0 58 | 13 5,726 16 0344 I 83 47,745 17 ojō59 96 57,224 13 0 Discontinued during year 6 I .. 223 0 0 6 2 578 15 0 23 | 1 2,153 10 0 35 3 2,955 5 0 (as per statement below) j j Existing at end of year īōT .. 3,529 0 oi 52 I 11 5,148 1 o|32l i 82 |45,592 7 0524 i 93 54,269 8 0 Particulars of Retiring and other Allowances discontinued during the Year. Discontinued by death .. 2 36 0 0 4 1 32! 4 0 23 j 1 2,153 10 0 29 2 2,510 14 0 Expiry .. .. 4 187 0 0 2 1 257 11 0 .... .. 6 1 444 11 0 Total .. 6 223 0 0 6 ,2 578 15 0 23 1 2,153 10 0 35 3 2,955 5 0

_ On Attainment of Total Retiring and other On Death. On Incapacity, Retiring Age. Allowances. Number. Number " Amount | Amount Nuraber - /Zunt. m. e. £ s. d. m. p. £ s. d. M. F. £ s. d. m. f. £ s. d. Total granted 494 1 24,583 0 0 458 22 28,994 18 0 622 149 70,374 8 01574172 123,952 6 0 Total discontinued ..177 .. 12,298 10 0 365 111 22,150 7 0177 6 16,395 14 0 719 17 50,844 11 0 Total existing at 31st De- 317 1 12,284 10 0 93 11 6,844 11 0 445 143 53,978 14 0 855 155 73,107 15 0 cember, 1935 -